BILL ANALYSIS                                                                                                                                                                                                              1
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                SENATE ENERGY, UTILITIES AND COMMUNICATIONS COMMITTEE
                            MARTHA M. ESCUTIA, CHAIRWOMAN
          

          SB 984 -  McClintock                                   Hearing  
          Date:  April 19, 2005                S
          As Introduced: February 22, 2005        FISCAL           B
                                                                        
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                                      DESCRIPTION
           
           Existing law  declares the policy of the state to encourage the  
          use of nuclear energy, wherever feasible, recognizing that such  
          use has the potential of providing direct economic benefit to  
          the public, while helping to conserve limited fossil fuel  
          resources and promoting clean air.
          (Chapter 1299, Statutes of 1970)

           Existing law  prohibits any new nuclear fission power plant until  
          the California Energy Commission (CEC) has determined that  
          technologies exist for the reprocessing of nuclear fuel rods and  
          the disposal of high-level nuclear waste.
          (Chapters 194 and 196, Statutes of 1976)

           Existing law  requires the CEC to prepare an inventory every five  
          years of greenhouse gas emissions from all sources located in  
          the state.  The inventory includes power plant emissions.
          (SB 1771 (Sher), Chapter 1018, Statutes of 2000)

           This bill  requires the CEC to prepare an inventory of existing  
          "zero-emission" power plants, including wind, solar and nuclear  
          plants, and compare their emissions, including greenhouse gas  
          emissions, with emissions from gas power plants.

                                      BACKGROUND
           
          The terms "global warming" and "global climate change" refer to  
          the rise in the average temperature of the earth's climate due  
          to an accumulation of "greenhouse gases" in the atmosphere.   
          Greenhouse gases include carbon dioxide (CO2), methane, nitrous  
          oxide, hydrofluorocarbons, perfluorocarbons and sulfur  











          hexafluoride.

          While the political debate over the existence, cause, and  
          effects of global warming, and what to do about it, continues,  
          the prevailing wisdom among climate scientists is that global  
          warming is occurring and that measures should be taken to  
          address its effects.

          SB 1771 required the CEC, in consultation with other state  
          agencies, to update California's inventory of greenhouse gas  
          emissions in January 2002 and every five years thereafter.  The  
          inventory is to include all emission sources in the state that  
          were identified in the CEC's 1998 report, "Historical and  
          Forecasted Greenhouse Gas Emissions Inventories for California,"  
          including power plants.

          According to the CEC's 2002 report, "Inventory of California  
          Greenhouse Gas Emissions and Sinks: 1990-1999," current research  
          has largely supported earlier scientific findings that emissions  
          of greenhouse gases from human activities have been steadily  
          increasing since the industrial revolution.  In addition, the  
          United Nations-sanctioned technical body, the Intergovernmental  
          Panel on Climate Change, reported in 1999:  "There is new and  
          stronger evidence that most of the warming observed over the  
          last 50 years is attributable to human activities."

          California has seen a modest increase in greenhouse gas  
          emissions over the last decade. This increase is the consequence  
          of several divergent forces within California, some leading to  
          increases in greenhouse gas emissions, and others negating those  
          increases.

          Several key California industries emit only moderate amounts of  
          carbon dioxide.  With a relatively temperate climate, California  
          uses relatively less heating and cooling energy than other  
          states.  As a leader in implementing aggressive efficiency and  
          environmental programs, California has been able to reduce CO2  
          emission rates in all sectors, as well as reducing energy demand  
          and air pollution emissions.  However, California leads the  
          nation in vehicle miles traveled.  As a result, CO2 emissions  
          from the transportation sector are increasing.

          California uses fossil fuels differently than the United States  
          as a whole.  Compared to most other states, California uses less  










          fossil energy to generate electricity.  This lower reliance on  
          fossil fuels is due to the availability of hydroelectric and  
          nuclear power, and the continuing and growing use of renewable  
          energy.  The predominant fossil fuel for electricity generation  
          in California is natural gas, which emits relatively less  
          greenhouse gases than oil or coal, the predominant fuel in many  
          other parts of the country.  As a fraction of its total fossil  
          fuel use, California uses more fossil fuels (primarily gasoline)  
          in the transportation sector. 

          The CEC's report suggests that the most significant reductions  
          in CO2 emissions, which represent close to 88% of all greenhouse  
          gases in the state, can be achieved through 1) continued energy  
          efficiency programs in all sectors, including electricity  
          generation; 2) further developing and integrating renewable  
          energy resources into electricity supplies; and, 3) promoting  
          transportation energy efficiency strategies.  Although it would  
          curb growth in CO2 emissions compared to natural gas, the CEC  
          did not suggest additional nuclear generation.  In 1976, the  
          Legislature enacted a moratorium on new nuclear fission power  
          plants until the CEC determined that technologies exist for the  
          reprocessing of nuclear fuel rods and the disposal of high-level  
          nuclear waste.

                                       COMMENTS
           
              1.   Nukes not "zero emission."   Nuclear power plants do not  
               emit carbon dioxide.  However, nuclear plants emit cooling  
               water, a source of coastal pollution, and radioactive  
               waste, the disposal of which presents an environmental  
               health hazard.  Nuclear power also produces small amounts  
               of greenhouse gas emissions.  According to the CEC's 2002  
               report, nitrous oxide (a greenhouse gas) is generated as a  
               by-product of nitric acid production.  Small quantities of  
               nitric acid are used in nuclear fuel processing.  The  
               association of the term "zero emission" with nuclear power  
               production is a misnomer.

              2.   Legislation not required.   This bill doesn't add much if  
               anything to information already collected and reported by  
               the CEC.  The author's objective likely could be  
               accomplished more economically by simply asking the CEC to  
               include a table comparing greenhouse emissions of  
               renewable, nuclear and fossil fuel generation sources in  










               the next greenhouse gas inventory update, which is due  
               January 1, 2007.

                                       POSITIONS
           
           Sponsor:
           
          Author

           Support:
           
          Pacific Gas and Electric Company (if amended)
          Southern California Edison

           Oppose:
           
          Sierra Club California



          




















          Lawrence Lingbloom 
          SB 984 Analysis
          Hearing Date:  April 19, 2005